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Insights on money, career and trading

Securing a Cheap Mortgage in 4 Easy Steps

Posted on December 8, 2014 by Daniel at 3:05 am

Securing a cheap mortgage, whether you are a new buyer or an existing homeowner is tough. It can seem like a never-ending task. No one wants to pay more than what they need to. But, finding a cheap mortgage can be a difficult endeavour. You don’t have to worry about finding an affordable mortgage any longer.

Here are some great ways that you can secure a cheap mortgage with relative ease.

Step 1: Know Your Mortgages

Now is the time to find what works best for your money. Do you need a mortgage deal that works with the interest rates? Or do, you need cheap home loans that are fixed in their payments? Compiling an active income and expenditure can ensure that you are in the right place to pay your mortgage. But, you can also find out if you have a level of flexibility with your home. If you have a lot of disposable cash, interest tracking mortgages tend to be cheaper. But, if you don’t have a lot of flexibility with your income, stick to a fixed mortgage. Ascertaining a budget and knowing what mortgages are on the market is one of the best ways of making sure that you are getting a better deal.

Step 2: Think Outside of the Box and Ditch the Bank

When it comes to securing a mortgage, your bank is not the only place to go. Many people believe that myth that the banks are the best places to go for mortgages. Wrong! There is a vast range of mortgage providers that are not banks. These independent financial institutions often have better deals and rates of interest. Whether you are remortgaging or securing your first loan, ditch the bank. You may find that you get a better rate over the term period of your loan.

Step 3: Book an Appointment with a Mortgage Broker

Once you have found a mortgage that suits your needs, and you think that you have found a good deal, go and see a mortgage broker. Their job is to scour for the best deals. A broker can often find a cheaper alternative to your mortgage. If you have somewhat limited means of accessing information, you will only have a tiny portion of mortgages on offer. With this in mind, a mortgage broker can help you find and secure a mortgage with a better rate of interest. They can also give you valuable advice on how to obtain the mortgage of your dreams. They are in the know when it comes to knowing what creditors want. They will give you the criteria that they look for. They are a great asset to have so don’t dismiss them.

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Step 4: Read the Fine Print

As with any massive financial commitment, you need to read the fine print. Before you sign anything, make sure that you go over all the necessary paperwork. You don’t have to go through a solicitor. You can do this yourself. This can ensure that you are not tied in to unnecessary contracts.

Insights on money, career and trading